ACCC backs off phone deal
The competition watchdog will not appeal the approval of the TPG-Vodafone merger.
The Australian Competition and Consumer Commission (ACCC) opposes the proposed merger between TPG and Vodafone when it was announced in May 2019.
Vodafone launched proceedings in the Federal Court for the deal to go ahead, and in February 2020 the court declared the proposed merger would not substantially lessen competition.
The ACCC had an opportunity to appeal the Federal Court’s decision, but it will not.
The regulator says it does not have grounds for appeal, as further legal action would require the ACCC to establish an error of law by the judge.
“The ACCC remains disappointed by this outcome, which has closed the door on what we consider was a once in a generation chance for increased competition in the highly concentrated mobile telecommunications market,” ACCC Chair Rod Sims said.
“The future state of competition without a merger is uncertain. But we know that competition is lost when incumbents acquire innovative new competitors.
“Despite this outcome, we will continue to oppose mergers that we believe will substantially lessen competition, because it’s our job to protect competition to the benefit of Australian consumers,” Mr Sims said.